BS: Buying a house; your best tips?

Subject: RE: BS: Buying a house; your best tips?
From: Charley Noble
Date: 04 Jan 02 - 10:10 AM

Well, there's some good advice above. You may want to talk with some housing co-op people as well, another flexible way of sharing private property while establishing guidelines for cycling individuals in and out. I helped establish a 7-person co-op in a 2-family home in Michigan back in 1972 and while none of the original members are still in residence the Rivendell Co-op is still functioning; we set it up so that people could move in and out for the equivalent of a security deposit. Members had no equity interest in the property, title being held by the Co-op corporation. This option will not be everyone's cup of herbal tea, but it worked well enough for us so that there were seldom more than 2 people being replaced in any one year. We had a lovely set of bylaws which hopefully the current members can find...Good luck, Peg!

Landlady's Daughter, not to be confused with Charley Noble

Subject: RE: BS: Buying a house; your best tips?
From: Amos
Date: 04 Jan 02 - 09:53 AM

IF its an older house, you want to look into homeowner's policy for maintenance work -- they are called different things in different places but it is like HMO coverage for the house. It CAN save you lots of dough if a serious issue comes up. The caveat is to make sure you read the details as to what the company will cover and what they will not.

Real estate agents CAN be flexible as to the percentage points of the deal they get as commission. These are actually negotiable but the impression is that they are standardized. They sometimes will give up a few points if a deal is falling apart over the last few x thousand bucks, in order to put it together. A GOOD RE agent who knows the territory and is working for you, knows how to handle negotiations and care for customers, is worth her weight in gold in saved stress.

A

Subject: RE: BS: Buying a house; your best tips?
From: Steve in Idaho
Date: 04 Jan 02 - 09:52 AM

Buying a place with friends - took nearly 20 years to become friends again. Have the place inspected by a professional, and certified/bonded, home inspector. Retain legal counsel for the exit clause just like Ian and Peter have suggested.

Call other folks who have purchased homes recently and find the best realtor you can to represent you. The seller's realtor is not working for you.

The very best of luck to you -

Steve

Subject: RE: BS: Buying a house; your best tips?
From: Midchuck
Date: 04 Jan 02 - 09:46 AM

1) Use a lawyer of your own. Even if the bank has a lawyer who'll "take care of everything for you." Have someone who's working for you at least go over the paperwork and explain it to you.

2) Have that lawyer hired before you sign a purchase and sale contract. The more anxious the broker is for you to sign the contract first and talk to a lawyer later, the less you should trust him/her.

3) Have the lot surveyed, even if it isn't required by the lender in any event.

4) Have a professional home inspection done.

5) Make sure you purchase owners (as opposed to just lenders, which will probably be required in any event) title insurance, with the extended coverage for zoning, etc., violations if it's available in your jurisdiction.

Caveat: All this advice is based on practice in Vermont, US. How much of it is relevant to real estate practice in your area, I have no idea. But a lawyer in your area, who has an active residential real estate practice, would.

Caveat #2: All of the above will increase you closing costs. Omitting any of them could cost you a great deal more, later. Your judgment call.

Peter.

Subject: RE: BS: Buying a house; your best tips?
From: Cappuccino
Date: 04 Jan 02 - 09:38 AM

While not wishing to offer a downer, please prepare your get-out before you get in.

Thirteen years on, I'm still suffering the effects of a joint purchase with someone who turned out to be a completely unreliable and untrustworthy co-owner.

It happens... so make sure you have a fair and legally-agreed exit route, just in case.

Good luck.

- Ian

Subject: BS: Buying a house; your best tips?
From: Peg
Date: 04 Jan 02 - 09:34 AM

Yes, I am buying a house with two friends of mine (only reasonable way we coud think to do it--they can't find an affordable one-family in the city and I can't afford to do it on my own so we are chipping in on a two-family).

Just curious if anyone has any "Gee I wish I'd known this" sort of advice before we jump into this process (which none of us has done before).

Anything we might not think of that we should? Your advice is appreciated! (I bet there are good stories as well).